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An act to stimulate business investment in the COVID-19 era

Digital & Innovation

The Ministry of Economy’s bill to stimulate business investment in the COVID-19 era was approved by the Chamber of Deputies on July 22, 2020. This new law is part of the government initiative “Neistart Lëtzebuerg” and aims to encourage companies that have suffered the impact of the COVID-19 crisis to carry out economic development, digitalisation or environmental protection projects, in return for subsidies.

In this context, FEDIL, together with the Ministry of Economy, has produced a video presenting the three types of aid envisaged.

Three types of aid are envisaged

  • investment aid for development projects, up to 30% of the cost of the project (depending on the size of the firm), with a 20% increase in aid for projects in the circular economy ;
  • investment aid for process and organisational innovation projects up to 50% of the project cost;
  • investment aid for energy efficiency projects or for projects to improve energy efficiency or to exceed standards up to 50% of the project cost.

The aid scheme will enter into force in the next few days and applications can be submitted from 27 July 2020 electronically via the platform.

Details will soon be available on If you have any questions, please do not hesitate to contact or the Ministry of Economy and Luxinnovation.

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